Don Rainey, the departing venture capital executive at Intersouth Partners, is moving to Grotech Capital Group, according to Private Equity Wire’s Daniel Primack.
The Washington Business Journal also reported that Grotech had disclosed Rainey would be joining the firm. A formal announcement is expected this week.
Intersouth announced Rainey’s departure on August 30. Rainey led Intersouth’s office in suburban Virginia.
Grotech, which is raising a new fund targeting $400 million according to the Washington Business Journal, hired Rainey as part of a anew strategy that will focus the Maryland-based firm on information technology investments in the Mid-Atlantic and Southeast.
Rainey declined on Thursday to say where he was headed.
Primack, writing in Private Equity Wire, said Rainey’s move was part of a “more interesting story” at Grotech.
“Grotech employs a stage-agnostic investment strategy, with a focus on companies located in the Mid-Atlantic and Southeastern regions. For years, that’s included both technology and life sciences, plus a sprinkling of consumer and business services. But not anymore,” he said.
“Grotech has decided to become tech-only – going so far as to remove any mention of life sciences and other non-IT portfolio companies from its web site.”
Primack added that Grotech’s “only healthcare-focused general partner” Harris Hyman “is out.” Primack said Hyman told him he “may join another VC firm” or launch “his own shop.”
Last year, Patrick Kerins, who led tech investments at Grotech, left to join New Enterprise Associates in Baltimore.